As National Small Business Week kicks off on April 28, Nebraska is celebrating job creation successes as among prominent indicators of traction and growth. However, finding the right talent remains both a major challenge as well as a major achievement for support organizations and respective entrepreneurs alike.
Factoring growth
The Nebraska District Office of the U.S. Small Business Administration isolated the likes of the $140.5 million in SBA Guaranteed Financing to small businesses in the state in 2023, with the 7(a), 504, and microloan programs accounting for 295, 31, and 88 loans valued at $105.2 million, $35.2 million, and $1.5 million, respectively.
The 7(a) loan is lauded for its flexibility, whereas the 504 and microloan programs are for larger-dollar purchases, such as property, and startups or those who need help securing financing, respectively, according to District Director Tim Mittan.
By the office’s calculations, Mittan said this “influx of capital” helped create or retain more than 3,152 jobs last year.
“Job creation generally signifies growth,” he stated.
Mittan also highlighted the $1.9 billion in prime contracting dollars awarded to Nebraska firms with $778 million (small business), $297 million (8a firms), $64 million (women-owned), $170 million (HUBZone) and $300 million (veteran-owned) businesses.
“Any time a business takes on additional funding, especially a contract, it generally means growth,” Mittan stated. “We always like to see the number of businesses in the state increase over the year.”
On average, Mittan said such figures are up from the previous year but remain “below pre-pandemic levels.”
“Many factors contribute to that, including higher interest rates and inflation,” he said.
Anecdotally, Mittan’s team often hears from business owners about their impact through training, events, one-on-one meetings, or resource partners from across the state.
This year, the organization is placing special emphasis on rural businesses by increasing its visibility, specifically with a focus on more in-person training on federal government contract opportunities.
“We are not just about loans,” he said. “We are also about training and getting the right information in their hands to succeed.”
This year during Small Business Week, the SBA is celebrating Scottsbluff-based Bluffs Physical Therapy owner Michael Moravec as Small Business Person of the Year, and Louisville-based Lincoln Structural Solutions as 2024 Subcontractor of the Year for Nebraska and a nine-state region.
Filling the gaps
Nebraska Business Development Center Executive Director Dan Curran noted his team has worked with 2,017 entrepreneurs and small businesses last year.
Key metrics identified and analyzed by University of Nebraska Omaha Professor of Economics, Dr. Christopher Decker, include jobs created or saved (180), capital investments ($23.3 million), government contracts ($298.3 million), and SBIR awards ($850,000).
“Last year, our clients had a $623.3 million impact to Nebraska’s economy,” he stated.
NBDC partnered with the UNO Center for Public Affairs Research to pull data on entrepreneurship; for instance, Curran said it took a deep dive into the self-employment demographics. When looking at the findings, self-employed individuals in non-incorporated businesses tend to be white males, aged 36 to 65, in agriculture and related industry.
“All our priorities center around getting business owners connected to necessary resources for success,” Curran said.
For instance, SourceLink Nebraska has mapped 500-plus Nebraska organizations that support business owners and is positioned as a tool to help entrepreneurs navigate the ecosystem.
NBDC is also working to connect innovative companies with grant funding to support research and development, prototype creation, and going to market.
“We’re also working to get them connected to University of Nebraska faculty expertise, potential partners, and other critical resources they need to succeed,” he said. “There are also some businesses Nebraska critically needs right now; child care is a great example.”
Curran said individuals may deeply understand early childhood development and have a background in such work but don’t yet have the business or administrative expertise to run a center.
“We’re here to help those potential entrepreneurs connect to the expertise that can help launch them to success,” he said.
Transformational tech, talent
Communications strategy firm Avant Solutions’ successes in the past year have included securing a significant national nonprofit client.
“We’ve been helping them with storytelling at the local level, and it’s been exactly what they were looking for,” President Monique Farmer said. “It’s been an amazing chance for us to scale up and tackle bigger projects.”
Farmer stresses how they work together as a team — they do not win or lose as individuals.
“We’re all about being helpful to one other rather than competing, and that’s made our team really strong,” she said. “Having talent that is diverse and people on the team who can move in and out of spaces to support where needed is also integral.”
Farmer was also quick to highlight artificial intelligence.
“It is quickly changing the industry, making everything from research to communication faster and more efficient,” she said. “I’m personally really excited about some of the new AI tools coming our way later this year that haven’t yet been made available to the general public.”
Staying ahead of challenges is key for small business owners.
“Being small means you have to be hungry, flexible, innovative, nimble, and smart to compete,” Farmer said. “We always have to prove our worth and listen for problems we can solve. Being a Black woman-owned business adds another layer of challenge since there are less role models or mentors out there to learn from who understand what this journey is truly like.”
Farmer provided Guidant Financial research, which noted women business owners face considerable recruitment difficulties (only a small percentage find it “somewhat to very easy” to hire new employees).
Additionally, she isolated Brookings research, which noted Black people represent 14.2% of the population but only 2.4% of employer firms in 2020.
Positively, Black women-owned businesses have seen “significant growth,” with 37.2% of all Black-owned businesses owned by black women.
Farmer encourages would-be entrepreneurs to “find your squad.” Seek out trusted entrepreneurs who “get it.”
“It’s a marathon, not a sprint,” she said. “It’s also a rollercoaster ride as you aim for that proverbial hockey stick. Your squad will be your survival kit.”
Where legacy, innovation meet
Jerry Ryan Clothing and Sportswear has survived and thrived for 51 years. Now under the leadership of late founder James (“Jerry”) Ryan’s sons, John and Dan, the business is also serving the third and fourth generation of customers. Recent successes are attributed to a larger location at 7824 Dodge St.
“We moved our store two years ago,” Dan Ryan said. “We were having trouble doing the business that we did because we were in a smaller space.”
A familiar refrain, Ryan harkened back to his father’s wisdom: “One of my dad’s favorite sayings was, ‘Don’t miss the sale. If you don’t have the inventory, you might miss the sale. And if you don’t have what someone is looking for, try to sell them something a little different.’”
If that doesn’t work, go to work to get them exactly what they like.
“That was instilled in me and we rarely missed the sale,” he said.
He also attributes successes to relationships with the likes of Creighton University sports programs.
“We sell a lot of Creighton gear when they win,” Ryan said.
They’re not afraid to innovate in other ways; for instance, shifting from renting to selling wedding apparel.
“It has brought in many young men and women who wouldn’t have stepped foot inside of the store before,” he said. “Our median age has dropped. It has gone from a middle-aged, successful guy to a younger guy who is successful and likes clothes.”
Its wide range of lines resonates with a diverse range of clientele; Ryan indicated Rhone appeals to a younger demographic, whereas Hart Schaffner & Marx is a timeless brand carried throughout its history.
Merchandise is one thing; service is quite another.
“When you walk into our store, we have someone who wants to take care of you and who immediately can direct you to the right size,” Ryan said. “It’s a huge difference when people know what they’re doing and they care.”
Personnel may make a huge difference, but Ryan admits it’s hard to find employees at times. Right now, the store remains very much a family affair (with a head tailor of 32 years who is like family, Mounir Elbard). Additionally, he said the cost of insurance remains a challenge for small businesses.
Ryan encourages those just starting out or struggling to get involved with groups like Rotary that can open doors and “get your name out there.”
Flurry of entrepreneurial activity
President and Interior Designer Julie Hockney of JH Interior Design launched not one but three businesses in the past year and undertook a major remodel at the beginning of 2023.
“We opened The Winery & Deli, reimagining an Omaha institution in the same location, and connected it to a new 2,000-square-foot retail space called The Studio by JH, featuring art, home accessories, and furniture, and then connected that to Bouquet, our floral studio,” Hockney explained. “The spaces flow into each other, allowing guests to meander and discover each brand.”
Here again, the “secret” to her successes has been people, mainly hiring the right ones.
“In this case, we have three smart and savvy women running each brand, and they are backed up by great teams,” she said. “We also strive to have the right products to attract people to our spaces.”
Hockney also alluded to big opportunities presented by its presence in Clocktower Village.
“Although we’re across from Westroads Mall, we’re still a bit off the beaten path,” she said. “Once people discover us, they are delighted.”
Retail generally remains challenged to convince consumers that “in-person” is better than ordering online from their couch.
“We’ve partnered with other unique brands for pop-ups, held open houses with refreshments, created whole evenings focused on the customer experience,” Hockney explained. “We’ve marketed a ton on social media and just try to get the word out.”
As to Hockney’s words of wisdom, it’s all in the people and surrounding oneself with like-minded ones. Entrepreneurs’ Organization (EO) embodies this notion.
“My entrepreneurial peers help me remain confident and feel on track, “she said. “You can do the same with a mentor or a business coach. Being an entrepreneur is full of highs and lows — it’s a journey. Taking the journey with others on a similar one makes it all the sweeter.”
The Making of a Longstanding Family-Owned Business
The late James G. “Jerry” Ryan opened the store that still bears his name in 1973. The legacy continues with the second generation of leadership, sons John and Dan Ryan, and with the third- and fourth-generation of loyal customers.
Fashion wasn’t always the family business. The journey could be characterized as “serendipitous.”
“The greatest story is how my family got into this business,” said Dan Ryan. “My grandfather and his family (one of those kids was my dad) were from Kearney. When they moved to Omaha, he begged Brad Ashford’s grandfather for a job, but it was during the Great Depression.”
Dan’s grandfather said he would work for free and vowed to “run circles around the sales staff.”
“He proved to be a good salesman,” Dan said. “It’s a true success story of proving yourself to someone and capitalizing on that chance.”
Dan’s father would go on to open his store after a reported 20 years in the menswear business. But only after other members of the business community took a chance on him and his dream for what would become Jerry Ryan Clothing and Sportswear.
“I can’t stress how good the community has been to us,” he said. “My dad had to beg [Midwest Bank] to get an SBA loan to start the business.”
Dan himself has established quite a history with the business that is now celebrating 51 years and its second year at a new location.
“I’m 56 and have worked here for 40 years,” Dan said. “My dad had told me as a young boy that you work very hard and there are lots of long hours, but it’s nice to be your own boss. You don’t have to answer to too many people … And I can’t wait to get up in the morning and get to work. I can’t wait for the boxes to come in, and to see what we have to sell to someone. It’s exciting.”
